The Legislature finds and declares that placing all public
contract provisions for judicial branch entities in one part will
make that law clearer and easier to find. Further, it is the intent
of the Legislature in enacting this part to achieve the objectives as
set forth in Sections 100, 101, and 102.

(a) All judicial branch entities shall comply with the
provisions of this code that are applicable to state agencies and
departments related to the procurement of goods and services,
including information technology goods and services. All contracts
with total cost estimated at more than one million dollars
($1,000,000), except contracts covered by Section 68511.9 of the
Government Code, shall be subject to the review and recommendations
of the Bureau of State Audits to ensure compliance with this part.
All judicial branch entities shall notify the State Auditor, in
writing, of the existence of any such contracts within 10 business
days of entering the contract. In addition, all administrative and
infrastructure information technology projects of the Judicial
Council or the courts with total costs estimated at more than five
million dollars ($5,000,000) shall be subject to the reviews and
recommendations of the California Technology Agency, as specified in
Section 68511.9 of the Government Code.
(b) Except as provided in subdivision (c), procurement and
contracting for the planning, design, construction, rehabilitation,
renovation, replacement, lease, or acquisition of court facilities
shall be conducted by judicial branch entities consistent with the
relevant provisions of this code applicable to state agencies.
(c) Notwithstanding any other provision of law, this part does not
apply to procurement and contracting by judicial branch entities
that are related to trial court construction, including, but not
limited to, the planning, design, construction, rehabilitation,
renovation, replacement, lease, or acquisition of trial court
facilities. However, this part shall apply to contracts for
maintenance of all judicial branch facilities that are not under the
operation and management of the Department of General Services.
(d) Only until the Judicial Council adopts the Judicial Branch
Contracting Manual required pursuant to Section 19206, judicial
branch entities shall instead be governed by applicable policies and
procedures in the State Administrative Manual and the State
Contracting Manual, or policies and procedures as otherwise required
by law to be adopted by the Department of General Services applicable
to state agencies.

(a) As used in this part, "judicial branch entity" means any
superior court, court of appeal, the California Supreme Court, the
Judicial Council, the Habeas Corpus Resource Center, or the
Administrative Office of the Courts.
(b) Where there is a reference in this code to an officer or
employee of a state agency, for purposes of this part, these terms
shall refer to a member, judicial officer, officer, employee, or
other person of a judicial branch entity, as applicable.

The Judicial Council shall adopt and publish no later than
January 1, 2012, a Judicial Branch Contracting Manual incorporating
procurement and contracting policies and procedures that must be
followed by all judicial branch entities subject to this part. The
policies and procedures shall include a requirement that each
judicial branch entity shall adopt a local contracting manual for
procurement and contracting for goods or services by that judicial
branch entity. The policies and procedures in the manuals shall be
consistent with this code and substantially similar to the provisions
contained in the State Administrative Manual and the State
Contracting Manual.

Except as provided in subdivision (a) of Section 19204 or as
otherwise specifically required by law applicable to any judicial
branch entity, nothing in this part is intended, nor shall it be
construed, to require the approval, review, or involvement of any
other state entity, including, but not limited to, the Department of
General Services or the Secretary of California Technology, in the
procurement of any judicial branch goods or services, including
information technology goods or services.

(a) Notwithstanding Section 10231.5 of the Government Code,
beginning in 2012, twice each year, the Judicial Council shall
provide a report to the Joint Legislative Budget Committee and the
State Auditor that provides information related to procurement of
contracts for the judicial branch. One report shall be provided no
later than February 1 of each year, covering the period from July 1
through December 31 of the prior year, and the second report shall be
provided no later than August 1 of each year, covering the period
from January 1 through June 30 of the same year.
(b) Each of the two annual reports shall include a list of all
vendors or contractors receiving payments from any judicial branch
entities. For each vendor or contractor receiving any payment during
the reporting period, the report shall provide a separate listing for
each distinct contract between that vendor or contractor and a
judicial branch entity. For every vendor or contractor listed in the
report, including for each distinct contract for those contractors or
vendors with more than one payment during the period, the report
shall further identify the amount of payment to the contractor or
vendor, the type of service or good provided, and the judicial branch
entity or entities with which the vendor or contractor was
contracted to provide that service or good.
(c) Each of the two annual reports shall include a list of all
contract amendments made during the report period. For each
amendment, the report shall identify the vendor or contractor, the
type of service or good provided under the contract, the nature of
the amendment, the duration of the amendment, and the cost of the
amendment.

(a) The State Auditor shall do the following:
(1) On or before March 15, 2014, and biennially thereafter,
identify five judicial branch entities, excluding the Administrative
Office of the Courts, for audit to assess the implementation of this
part by the judicial branch entity based upon risk factors that
include, but are not limited to, all of the following:
(A) Significant changes in legal or other requirements that have
occurred that impact compliance with this part.
(B) The amount of time since the last audit performed of the
identified judicial branch entity to assess its implementation and
compliance with this part.
(C) Previous audit results or known deficiencies.
(D) Significant or unusual changes in management or high employee
turnover.
(E) The complexity and size of the judicial branch entity.
(F) The level of sophistication and complexity of existing
contracting practices and procedures.
(G) The total volume and type of procurement made by the judicial
branch entity compared with overall judicial branch procurement.
(H) Substantial changes in total procurements, including, but not
limited to, number and allotted amount, from one year to the next.
(2) On or before March 15 of the year in which the judicial branch
entities are identified pursuant to paragraph (1), notify the Joint
Legislative Budget Committee and the Joint Legislative Audit
Committee of the five judicial branch entities identified and the
estimated cost to conduct an audit of each judicial branch entity.
(3) On or before July 1 of the year in which the judicial branch
entities are identified, commence an audit of each identified
judicial branch entity, subject to an appropriation for this audit
whereby moneys are allocated in the annual Budget Act to one or more
funds that are available for use by judicial branch entities. Upon
completion of the final audit report, as identified in paragraph (4),
the Administrative Office of the Courts shall reimburse the
California State Auditor for the actual costs of the work performed.
(4) Provide the judicial branch entity with a reasonable
opportunity to respond to the findings of the audit. An audit report
shall not be considered final until this opportunity is provided and
any response is included or incorporated into the audit report.
(5) On or before January 15 of the fiscal year for which the
appropriation for the audit was made, report the judicial branch
entity audit findings, including any response by the judicial branch
entity, to the judicial branch entity, the Legislature, the Judicial
Council, and the Department of Finance.
(6) Annually provide updates to the Legislature on the status of
the judicial branch entity implementation of an audit recommendation.
(b) If, on or before March 15 of the year in which the judicial
branch entities are identified pursuant to subdivision (a), the
California State Auditor identifies, on the basis of the risk factors
described in subdivision (a), judicial branch entities for audit in
addition to the five identified pursuant to subdivision (a) and
notifies the Joint Legislative Budget Committee and the Joint
Legislative Audit Committee of these additional entities, along with
the estimated cost of each audit, and an appropriation is made for
this purpose in the same manner as described in paragraph (3) of
subdivision (a), the California State Auditor shall then audit the
additional judicial branch entities and provide a final audit report
as described in paragraphs (4) and (5) of subdivision (a).
(c) On or before July 1, 2015, and biennially thereafter, the
California State Auditor shall commence an audit of the
Administrative Office of the Courts, to assess the implementation of,
and compliance with, this part, subject to an appropriation by the
Legislature to the Judicial Council for transfer to the State Audit
Fund for this purpose, and provide a final audit report in the manner
described in paragraphs (4) and (5) of subdivision (a).
(d) The California State Auditor may follow up on a prior audit
finding at any time.
(e) The California State Auditor shall conduct an audit pursuant
to this section in accordance with Chapter 6.5 (commencing with
Section 8543) of Division 1 of Title 2 of the Government Code.
Pursuant to Section 8546.2 of the Government Code, the California
State Auditor shall request updates from an audited judicial branch
entity regarding its progress in implementing audit recommendations
made pursuant to this section. The audited judicial branch entity
shall provide these updates at intervals prescribed by the California
State Auditor so that the California State Auditor may conduct
appropriate followup activities.
(f) Moneys that have been transferred to the State Audit Fund
pursuant to this section to audit a specific judicial branch entity,
but have not been expended by the California State Auditor at the
time the California State Auditor provides its final audit report for
that judicial branch entity, shall revert back to the fund from
which the moneys were transferred.
(g) A report submitted pursuant to this section shall be submitted
in compliance with Section 9795 of the Government Code.
(h) If the California State Auditor is selected as the auditing
entity pursuant to subdivision (j) of Section 77206 of the Government
Code, then the California State Auditor may combine the results of
an audit of a trial court conducted pursuant to that section with an
audit of the same trial court conducted pursuant to this section. The
California State Auditor may also combine the results of an audit of
the Administrative Office of the Courts pursuant to Section 77206 of
the Government Code with the results of an audit of the
Administrative Office of the Courts pursuant to this section.
(i) This section shall become operative on January 1, 2014.